07/14/2024
DEMAND PLAN WITH APS
As we are now in the 2nd week of July, homeowners are getting their first summer bills from APS
For most of you, it is the highest you have ever seen and it will only get higher as we get deeper into summer
That rate increase is truly flexing its muscles
For higher usage homes, with or without solar, you should be on a demand plan already with APS
This plan provides much cheaper on/off peak rates compared to the regular 4-7 plan, but it does have demand charges. This is also more than likely the cheapest rate plan yearly
APS will recommend it, but most homeowners don’t know what demand means
Demand is how much power in KW (kilowatt) that you are using at the same time during the on peak time of 4-7 M-F. APS will take your highest KW hit and charge you per KW
This means with our high heat and the continuous running of the ACs, you will already have a higher baseline of demand. Then between 4-7pm you turn on the dishwasher, washer, dryer, vacuum, microwave, etc.
This will jump your demand levels and you will be charged accordingly. All it takes is turning on a high usage item or multiple at a time at 6:59pm and that is your charge for the month
Especially in the summer with our ACs running, make it a habit to shift high usage things to outside the 4-7 time frame. Not only will that power now be bought at the very cheap off peak rate, but your demand levels won’t spike
Now, if that isn’t possible based on lifestyle, then just try to not turn on multiple things at once
How to properly utilize the demand plans goes for solar and non solar homes
Solar has no bearing on demand levels, so the same rules apply
Also, anyone with solar that was installed prior to 2017 doesn’t need to be on a demand plan as you are grandfathered with net metering
As always, please share, reach out with any questions, or set up a time for a whole home energy assessment
The Solar Advisor